NEVs Help Drive EV Sales in China

Posted on March 18, 2015 by Marc Cesare

Kandi Technologies NEV

According to China’s Association of Automobile Manufacturers sales of battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs) reached 78,499 units, 3.5 times of such figure in last year.

Among the total, BEV was 48,605 units and PHEV was 29,894 units, 2.4 times and 8.1 times from the previous year respectively. As for the sales, the total volume reached 74,763 units, 3.2 times from a year earlier, of which BEV was 45,048 units and PHEV was 29,715 units, 2.1 times and 8.8 times of that of last year.”

While exact figures are not available it is believed that half or more of the the BEV sales can be attributed to BEVs. Learn more: Insideevs.com

Comment: The Chinese market for NEVs is more conducive to the use of NEVs than the US because of the amount of intra-city driving which requires a lower top speed and less range. The Chinese government is also making a big push for electric vehicles.

What’s Cooking on the STOV: Beach Bugz LSV Rentals

Posted on March 17, 2015 by Marc Cesare

Highlighting some of the many applications for small, task-oriented vehicles

Beach Bugz co-owners Adam Benigni, left, and Jimmy Stephenson have opened a street-legal golf cart rental business, along with partner Adam Smith, not pictured. Photo Credit: David Albers

Beach Bugz co-owners Adam Benigni, left, and Jimmy Stephenson have opened a LSV rental business, along with partner Adam Smith, not pictured. Photo Credit: David Albers

Beach Bugz Offers LSVs for Rent – Beach Bugz, a company based in Naples, FL, started renting LSVs last October for daily, weekend or weekly use at rates of $100, $275 or $475 respectively. Beach Bugz currently has a fleet of 23, six-seat E-Z-GO vehicles that meet LSV regulations and conveniently come with a free beach parking sticker. The company was started by Adam Benigni, Adam Smith and Jimmy Stephenson and they have plans to expand their fleet to between 50 and 100 vehicles to cover from Naples to Marco Island as well as looking to other counties and to hotel rentals. They hope to upgrade the vehicles as well with GPS navigation and bluetooth enabled speakers so customers can stream music over their smartphones. Some businesses in the area offer dedicated parking spots for electric vehicles or LSVs and the City Council is examining ways to encourage LSV use. The rentals have been popular when customers had friends and relatives visiting for Thanksgiving or children coming down for Spring Break. Learn more: Naplenews.com

Comment: A nice niche fleet market is developing for LSVs. In addition to this type of rental company, there have been a number of LSV taxi fleets that have been started in different cities around the country. While they often face some local regulatory issues, in general, they appear to be making some headway.

New Small Task-Oriented Vehicle (STOV) Study from SVR Forecasts Significant Growth

Posted on March 11, 2015 by Marc Cesare

Small Task-Oriented Vehicle (STOV) market at the Edge Of Significant Transformation & Growth in Next Five Years

In a new market study on the small vehicle market, Small Vehicle Resource (SVR), LLC predicts significant growth over the 2015-2019 period. The market research reveals four trends coming together that will result in market gains of between 8%-12% in the forecast period and an industry value in the range of $20-$25 billion at retail. These trends are:

Growing appreciation in a highly diverse market for the effectiveness of small vehicles specifically designed to meet individual segment needs (small, task-oriented vehicles (STOVs);

Superior product development in drive trains (AC electric plus the addition of EFI and hybrid drives in many new market segments) and automotive-type components, which heightens performance capabilities and raises the bar in the cost/benefit trade-off;

Critical improvement in distribution and sales systems that cater to manufacturers’ non-traditional markets—in conjunction with,

Increased use of the internet-based information to drive sales.

“Much better economic performance for the last three quarters of 2014 and a strong positive outlook for 2015, provides the launching pad for SVR’s positive forecast for 2015-2019,” states Steve Metzger, SVR Managing Director. “The drag on industry growth from the 2008/09 recession and subsequent slow recovery appears to be over,” he went on to say. Further, Metzger explains, “With the exception of fleet golf cars, where demand is stagnant at best, the privately-owned (primarily personal transportation vehicles), utility vehicle, and off road segments should all see gains in mid-single digits to low double digits range over the next five years.” The report notes that the stability of the golf-related market offers to golf car manufacturers the cash flow breathing room to transition to non-golf segments.

Marc Cesare, SVR Managing Director adds, “We put special emphasis on the off-road market in this report, because it has become the competitive vortex for golf car manufacturers seeking new markets, the powersports industry, and traditional manufacturers of work related utility vehicles.” “The spectrum of off-road solutions has greatly expanded,” Cesare notes, “as manufacturers seek growth by broadening their product lines and targeting market sub-segments with models tailored for specific end-use applications.”

The new study, the seventh in the series of studies produced by SVR since 2000, covers utility, off-road, and personal transportation vehicles, and fleet golf cars.

The study is entitled, “The Small, Task-Oriented Vehicle Market: Greater Product Diversity Opens New Avenues of Market Competition–Trends from 2010; Forecasts to 2019. For additional, detailed information see our SVR STOV Market Study Brochure or contact:

Steve Metzger at smetzger@smallvehicleresource.com or (914) 293-7577

Club Car Awarded National Contract for Utility, Transportation & Golf Vehicles

Posted on March 4, 2015 by Marc Cesare

Carryall 2 Electric from Club Car is one of the vehicles covered by the newly awarded contract.

Club Car has won a national contract from U.S. Communities for utility, transportation and golf vehicles and related accessories, equipment, parts and services. U.S. Communities is the leading national government purchasing cooperative, providing government procurement resources and solutions to local and state government agencies, school districts (K-12), higher education institutes, and nonprofits looking for the best overall supplier government pricing. More than 55,000 registered agencies, education institutions and nonprofits utilize U.S. Communities contracts to procure

The lead agency on the bid solicitation for the contract was the City of Kansas City, MO. This is the first time the organization has awarded a contract in this category and it is for three years with two one year renewal options. Vehicles covered in the contract include:

Carryall® utility vehicles. (4x2s and automatic 4x4s and two- and four-passenger models.)
Carryall® LSVs. Street-legal on roads with speed limits of 35 mph or less in most states.
Transporter™ transport vehicles. (Four- to eight-passenger.)
Villager™ transport vehicles. (Four- to eight-passenger.)
Precedent® golf cars.
Café Express hospitality vehicles.
Service parts factory direct.

Learn more: Virtual-strategy.com

Comment: This is a nice contract to win. It effectively shuts out the competition when the member agencies want to purchase these types of vehicles. They don’t have to put out request for proposals (RFP) and obtain quotes from multiple vendors. By avoiding the RFP process, purchasing through this contract makes the process faster for both the buyer and seller.

Nashville Approves LSV Law For Taxis

Posted on February 4, 2015 by Marc Cesare

The city council of Nashville, TN recently passed an ordinance allowing LSV taxis on local public roads with speed limits up to 35 mph. The regulations stipulate that “Vehicles, which must undergo regular safety inspections, will be allowed to carry no more than seven passengers and travel no greater than 25 miles per hour. Passengers 12 years or younger will have to be accompanied by an adult. Drivers will not be allowed to provide alcohol to passengers.” The regulations affect companies like Joyride Nashville that currently has a fleet of 24 vehicles and will be adding 12 more. Learn more: Tennessean

Comment: Downtown city taxi services have turned into a small niche for the LSV market. While there can often be some push back from highway speed taxi services, these LSV fleets are taking root in different cities around the US. They sometimes generate revenue through advertising rather than passenger fares. For cities, the smaller vehicles, typically electric powered, vehicles can reduce congestion, noise and pollution in crowded downtown areas or tourist destinations.

Google Self-Driving Car: The New LSV

Posted on February 4, 2015 by Marc Cesare

Google plans on testing a fleet of prototype fully autonomous vehicles without a steering wheel later this year and they may technically fall under the low speed vehicle classification. According to a Google spokesman the test fleet will operate “at lower speeds to reduce the risk when something should go wrong.” They have been testing vehicles already but a person is present to handle driving in certain weather conditions and other critical driving situations. Google does not believe it needs permission from NHTSA to put the vehicles on the road but like other manufacturers needs to certify that the vehicles meet existing vehicle safety standards. NHTSA is currently working on regulations regarding autonomous vehicles. Learn more: Detroitnews.com

Polaris Reports 2014 Q4 Earnings

Posted on February 3, 2015 by Marc Cesare

The new four passenger RZR 4 EPS in Havasu Red Pearl from Polaris.

A constant stream of new models like the new four passenger RZR 4 EPS in Havasu Red Pearl help keep Polaris growing.

Polaris continued on the path of strong growth with another record quarter. Managment reported net income was $135.4 million for the fourth quarter of 2014, up 25 percent from the previous fourth quarters net income of $108.7 million. Sales for the fourth quarter of 2014 totaled a record $1,275.0 million, an increase of 18 percent over last years fourth quarter sales of $1,083.7 million.

For the full year ended December 31, 2014, Polaris reported net income from continuing operations of $454.0 million for the full year 2014, up 19 percent from the previous years net income from continuing operations of $381.1 million. Sales for the full year 2014 totaled a record $4,479.6 million, an increase of 19 percent compared to sales of $3,777.1 million for the full year 2013. Some of the highlights related to small, task-oriented vehicles follow.

Off-Road Vehicle sales , which includes ATVs and UTVs or side-by-sides, increased 19% from the fourth quarter 2013 to $781.5 million. This increase reflects continued market share gains on strong demand for both ATVs and side-by-sides.
Polaris North American ORV unit retail sales were up low-double digits percent from the 2013 fourth quarter with consumer purchases of side-by-side vehicles up double-digits percent and ATV retail sales up high-single digits percent for the 2014 fourth quarter.
Polaris introduced over twenty new MY14.5 and MY15 ORV models in 2014, including the all-new RZR® XP 900 trail and RZR® XP4 900 trail, several new value models, and two models in a newly defined category of single-seat, ride-in ATVs, the Polaris ACE.
Polaris extended their market share lead in the North American ATV industry for the fourth straight year with retails up mid-single digits in an industry that only rose slightly.
ACE sales accelerated notably in the fourth quarter as marketing and the new 570 model began to impact the marketplace.
Four recent model year ’15 introductions include the new electronically fuel-injected RZR 170 and the new RZR 900S4, both of which have already begun to ship.
Commercial. Sales increased by over 80% in the fourth quarter driven by initial Ariens-Gravely supply vehicle shipments, strong national accounts growth and notably improved BRUTUS and Bobcat retail performance.
In the Small Vehicle division which includes GEM, Aixam and Goupil, fourth quarter revenue declined 11% due to the weak French economy afflicting both Aixam and Goupil. For the full year 2014, sales increased 28% fueled by Aixam market share gains and increased sales from both our GEM and Goupil businesses.
Polaris significantly outperformed in the ORV market in Europe.
For 2015 management expects ORV is expected to grow mid-single digits, driven by new products but offset by further implementation of RFM, their new inventory management program, and slower international demand.

Learn more: Seekingalpha.com (earnings call transcript)

Comment: Polaris continues to dominate the market, although like other manufacturers they have been hurt by slower sales in Europe and in countries like Russia. Expect more of the same in 2015 as they continue to rollout products to segment the market and cover a range of price points. They are likely to add more models for their push into the commercial segment as well.

Research Demonstrates Effectiveness of Solar Panels For Vehicle Range Extension

Posted on January 22, 2015 by Marc Cesare

University of Windsor associate professor Narayan Kar, left, and Unconquered Sun founder and CEO Sean Moore, in front of a electric powered shuttle outfitted with solar panels. (Photo: Julie Kotsis/The Windsor Star)

Researchers from the University of Windsor have conducted testing that show the effectiveness of solar panels to extend the range of electric vehicles. The research was performed in collaboration with Unconquered Sun Solar Technologies, a solar panel company based in Ontario with manufacturing facilities in Windsor. According to the company’s management, the testing showed that driving range could be extended 45% on average. Unconquered Sun is planning on launching a line of low-speed vehicles with rooftop solar panels in the Spring. For the testing, the solar panels used Lexan rather than heavier glass for the lamination of the solar cells. Learn more: Windsorstar.com

Comment: There are a number of companies in the market that provide electric STOVs with solar panel options. For example, some of Polaris’ GEM as well as Club Car provide a solar panel option from Solardrive for some of their electric vehicles. This research is just one more sign that this trend is likely to continue and even gain more momentum. The college/university market which has a strong interest in building green and sustainable fleets are a likely target for this type of vehicle option.

Ecocruise Set To Enter NEV Market

Posted on November 23, 2014 by Marc Cesare

The new Cruser Sport NEV from Ecocruise will be launched in January 2015.

Ecocruise based in Washington is set to enter the NEV market in January 2015 when they start shipping their Ecocruise Cruser Sport. The decidedly sporty model features a carbon fibre body over exposed tubular steel, exposed suspension and 14in aluminum wheels along with a covered rear hatch and T-tops. While built for the road, the design evokes off-road vehicles and reflects the off-road motorsports experience of company founder Steve Leighty who spent many years designing and building dirt bikes and ATVs.

The Cruser Sport features a Lifepo4 72v 62AH battery, 5kW brushless DC motor, 4-wheel disc brakes, dual A-arm front suspension and swing arm rear suspension. Other amenities include AM/FM radio, bucket seats and LCD instrument display. The Cruser Sport will retail for $8,500 to $11,900 depending on the battery and motor options.

Management expects their model lineup to be expanded shortly after the Cruser Sport launch with a one-seater EZIP-4 for around $3,800. In addition a line of service and utility vehicles, including electric scooters, will follow as well as a golf version of the Cruser Sport. Learn more: BBC.com

Comment: The Cruser Sport definitely has a different look than most of the NEVs on the market. While the consumer NEV market has grown, it has not been an explosive growth rate and in many areas has been eclipsed by commercial demand from institutions such as schools and parks looking for green and safe transportation alternatives. The consumer NEV market has been undercut, in part, by local regulations allowing expanded use of lower cost golf cars on public roads. In areas requiring compliance with NEV-type safety regulations NEVs have had more success. The design of the Cruser Sport may help it garner more sales than the typical NEV.

Pennsylvania Passes LSV Law

Posted on October 29, 2014 by Marc Cesare

The 2015 GEM eM1400 LSV should benefit from the new Pennsylvania LSV law.

The Pennsylvania legislature passed and the governor has signed a law that allows low speed electric vehicles to operate on roads with speed limits up to 25 mph. At the discretion of local governments and the Secretary of Transportation, the LSVs could be permitted on roads with posted speed limits between 25 and 35 mph. LSVs would be required to be registered, licensed, and insured like passenger vehicles. Pennsylvania was one of the few remaining states in the United States that did not have an LSV law. The legislation would become effective in May of 2015. Learn more: Senatorgreenleaf.com

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